Business
Loop Industries and SK Geo Centric Confirm the Successful Completion of a Technical Due Diligence of Loop's Technology at Its Production Facility in Quebec, Canada
Marks the Next Phase in the Commercialization of Infinite Loop™ Facilities Across AsiaBreaking Ground of First Facility in Ulsan, South Korea Anticipated
About this update from Loop Industries, Inc.
[{"type":"text","content":"Marks the Next Phase in the Commercialization of Infinite Loop™ Facilities Across AsiaBreaking Ground of First Facility in Ulsan, South Korea Anticipated Later in 2023MONTREAL, QC / ACCESSWIRE / March 28, 2023 / Loop Industries, Inc. (NASDAQ:LOOP) (\"Loop\"), a clean technology company whose mission is to accelerate a circular plastics economy by manufacturing 100% recycled polyethylene terephthalate (\"PET\") plastic and polyester fiber, and SK Geo Centric (\"SKGC\"), subsidiary of South Korean group SK, today announced the successful completion of a technical due diligence conducted by SKGC and the validation of Loop's technology. The technical due diligence marks the next phase in Loop and SKGC's long-standing partnership to commercialize Loop's technology through Infinite Loop™ manufacturing facilities in the Asian market.SKGC, which acquired a 10% equity stake in Loop in August 2021, executed a comprehensive due diligence to validate Loop's technology and its production facility in Terrebonne, Quebec. The scope of the technical due diligence included the depolymerization of low value PET waste into its base monomers of DMT and MEG, the purification of the monomers, as well as the polymerization into virgin-quality Loop™ PET resin and polyester fiber. Key parameters of Loop's technology that were validated were the production yields, operational stability, quality of the outputting monomers and overall performance of the production facility. The technical due diligence validated that the PET resin and polyester fiber produced using Loop's technology is of virgin-quality. The technical due diligence report, signed by both parties, confirms Loop's innovative technology.SKGC and Loop are committed to commercialize the Infinite Loop technology in Asia and the partners are planning several jointly built large-scale manufacturing facilities. Loop and SKGC are also working together with SK ecoengineering \"SKEE\", a subsidiary of the SK Group who brings considerable experience and proficiency as an EPC contractor, on the engineering services for their Asian manufacturing facilities. The first Asian manufacturing facility in Ulsan, South Korea, is anticipated to break ground in 2023 and the evaluation of the second Asian facility has already begun. The next step in the partnership is to sign the definitive joint venture agreement wh...